When Bitcoin Does This, Altcoins 'Will Start Popping Left And Right,' Analyst Predicts

Zinger Key Points
  • Altcoin surge expected post-Bitcoin ATH breach.
  • Important distinction between ALT/BTC and ALT/USD pairings.

A prominent crypto analyst, known pseudonymously as Credible Crypto, has shared insights on the future performance of altcoins in comparison to Bitcoin BTC/USD.

Despite his bullish stance on Bitcoin in the upcoming months, he anticipates a bearish trend for ALT/BTC pairings, predicting over 50% drops against Bitcoin for many.

Credible Crypto highlighted the current market patterns of altcoins as indicative of the broader ALT/BTC pairing landscape.

He noted that amid Bitcoin's recent consolidation phase, most ALT/BTC pairings have struggled to break any significant bearish market structures, leaving them on the brink of a potential downturn.

The analyst emphasized the liquidity constraints in the crypto market.

He explained that until Bitcoin surpasses its previous all-time high (ATH), the limited liquidity will predominantly favor Bitcoin over altcoins.

With over 10,000 altcoins vying for liquidity against the singular Bitcoin, it's evident why most altcoins might underperform against Bitcoin in the next market phase.

However, the tides are expected to turn post-Bitcoin's ATH breach.

Credible Crypto forecasts a surge in altcoins, stating, "Once $BTC breaks prior ATH and new money starts flooding in, alts will start popping left and right."

Also Read: Bitcoin Reaches Unprecedented Heights In Argentina, Surpassing 10M Pesos: What's Going On?

He further predicts a decline in Bitcoin dominance for the first time in over a year, leading to a robust resurgence in ALT/BTC pairings.

While the analyst is considering reallocating some of his Bitcoin holdings into the aforementioned altcoins, he also clarified a common misconception.

A decrease in ALT/BTC pairing doesn't necessarily equate to a drop in the USD value of the altcoin. An altcoin's USD value can remain stable or even increase while its BTC value diminishes.

The key takeaway is that if ALT/USD pairings remain static or ascend, but their BTC pairings decline, Bitcoin is still outpacing them in terms of percentage gains.

This suggests that, during such periods, exposure to Bitcoin might be more beneficial for investors.

Read Next: Crypto Custodian Prime Trust Files For Bankruptcy: What Stakeholders Need To Know

Join Benzinga's Future of Digital Assets in NYC on Nov. 14, 2023 to stay updated on trends like AI, regulations, SEC actions & institutional adoption in the crypto space. Secure early bird discounted tickets now!

Photo: Shutterstock

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: CryptocurrencyNewsMarketsaltcoinsCrypto AnalystCrypto Expertcrypto investment
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...